Rydalmere is tipped to be among Sydney’s best performers in 2022, according to a recent report which has crunched the numbers and looked at growth indicators for more than 600 Sydney suburbs.
According to the Shore Financial State of Sydney Report, the suburb, which is next to Parramatta in Sydney’s west, could enjoy price growth of 17.4 per cent in the next six months, and it’s far from the only suburb predicted to outperform the market and enjoy double digit price increases.
The quarterly Shore Financial State of Sydney Report divides Sydney’s 600-plus suburbs into five quintiles, based on their current median asking price for houses:
● Quintile 1 is considered ‘Working Class Sydney’, with Campbelltown forecast to lead the charge in this market sector.
● Quintile 2 is described as ‘Suburban Sydney’ with Rydalmere forecast to enjoy high price growth in the coming period.
● Quintile 3 is ‘Rising Sydney’ where Erskineville is tipped to be the top performer.
● Quintile 4 is ‘Professional Sydney’ where Denistone is predicted to enjoy double-digit price growth.
● Quintile 5 is ‘Elite Sydney’ where North Bondi is likely to enjoy further property price increases.
Shore Financial explained the top five suburbs in each quintile were determined by excluding suburbs that don’t meet certain benchmarks and trends related to asking prices, days on market, inventory levels and sales volumes over the previous three months.
Next, the remaining suburbs are ranked based on expected growth in asking prices over the next six months.
In Campbelltown (Working Class Sydney), asking prices for houses are forecast to increase 8.6 per cent in the next six months.
In Rydalmere (Suburban Sydney), asking prices are forecast to increase 17.4 per cent in the next six months. In Erskineville (Rising Sydney) asking prices are forecast to increase 12.6 per cent in that period.
In Denistone, (Professional Sydney) asking prices are forecast to increase 15.3 per cent. In North Bondi (Elite Sydney), asking prices for houses are forecast to increase 16.9 per cent in the next six months.
Shore Financial CEO Theo Chambers said the State of Sydney Report provides valuable data for first home buyers, investors and upgraders, whatever their price-point.
“This quarterly report focuses on leading indicators, rather than lagging indicators, which means instead of talking about how prices have changed in the past, it forecasts how prices are likely to move in the next six months,” he said.
“All the top suburbs in this report have low inventory levels and low days on market. That means they’re strong seller’s markets, which means buyers have to compete hard to outbid other buyers. That, in turn, is likely to drive significant price growth in the near future.”
However, Mr Chambers said buyers should not rely solely on the Shore Financial State of Sydney Report when planning their next purchase.
“Buyers should do thorough due diligence and evaluate a wide range of criteria before buying a property,” he said.
“It’s also a good idea to get advice from a mortgage broker, like Shore Financial, so you can discuss different repayment scenarios and organise a pre-approval.”